Army veterans have ventured into real estate business with an aim of availing affordable housing for low income earners.
In partnership with the Development Bank of Rwanda (BRD) and Rwanda Housing Authority, Abadahigwa Ku Ntego Ltd, the real estate project initiated by the veterans, has managed to construct 32 housing units so far.
Initiated in 2014, the project invested Rwf800 milion and each house costs Rwf18.6 milllion, constructed in the first phase.
Willy Rukundo, the managing director of Abadahigwa Ku Ntego Ltd, said they conceived the idea in order to partake in providing affordable houses for all people, especially for low-income earners.
“The project was initiated after identifying a challenge of inadequate affordable housing, especially for low income earners,” he told The New Times last week.
“This is the first phase. About 30 other housing units will be constructed in the second phase. We also have two and a half hectares of land in Mbandazi in Gasabo District, where we intend to build around 40 houses in the near future.”
Situated in Kabuga, each house has three bedrooms with two toilets and bathrooms inside, a kitchen and store, sitting room and dining room, with a rainwater tank.
A 2012 Housing Market Study in the City of Kigali showed that 340,000 new housing units are needed by 2022.
Of these, 86 per cent should be affordable and mid-range housing units, 13 per cent social housing while only less than 1 per cent would be premium housing.
The Government has prioritised the development of affordable housing for middle- and low-income communities.
Vision 2020 targets urbanisation rate to increase from 17 per cent of the population in 2012 to 35 per cent by the year 2020.
By then, the urban population is projected to have increased from the current 1.7 million to 4.4 million, an increase of about 2.7 million people.